How to Promote African Coffee Drinking Culture

As Thomas Jefferson stated in 1824, "Coffee is the beverage of the civilized world." With climate change, inflation, a volatile global market, President Trump's declared trade war, and new tariffs, coffee seems poised to become a drink for the wealthy, similar to what it was in France or how it might become soon. In this era of globalization, where the world is tightly intertwined through production and markets, the trade war between the United States and China will inevitably affect other countries. The trade volume between these two nations accounts for 46 percent of global trade. The President has imposed tariffs ranging from 10 to 46 percent on coffee-exporting countries. Vietnam faces a 46 percent tariff, while Ethiopia has a 10 percent tariff. Even though Ethiopia has the lowest tariff, being on par with Brazil and Colombia will likely hurt Ethiopia's competitiveness. The solution is to develop a new strategic vision now and turn our focus toward Africa.

Coffee means Ethiopia, and Ethiopia means coffee. Beyond its economic importance, coffee is our social capital, deeply connecting Ethiopians. A society strongly bound by social capital can lead to prosperity, while weak social capital can lead a society into the quagmire of poverty, as Rupert Putnam explains.

Coffee is Ethiopia's greatest gift to the world. This amazing symbol of Ethiopia, coffee, was discovered in our country in the 9th century. From there, it spread to the Arab world. Subsequently, through the slave trade and colonizers, it was cultivated in the Third World and sent to Europe, creating a coffee-drinking culture. Coffee freed the Western world from its addiction to alcoholic beverages. For instance, in medieval England, drinks, including those consumed with breakfast, averaged 70 gallons per year. However, coffee arrived and made England a sober and refined nation.

Recently, the African Union declared coffee a strategic crop. Fifty-four African countries have ratified the African Continental Free Trade Area (AfCFTA) agreement. This creates a favorable situation for Ethiopia. Although not as much as desired, coffee-drinking culture in Africa has been growing in recent years. Even though Africa contributes 13 percent of the world's coffee supply and is the birthplace of coffee, the coffee-drinking culture of Africans, with the exception of Ethiopia, is not as developed as in other parts of the world. Most African countries export raw coffee cheaply to foreign markets and then buy back value-added coffee at high prices.

African governments are encouraging domestic coffee consumption. For example, Cameroon is promoting coffee drinking in all government offices by organizing an event called the "Coffee Festival."

In South Africa, hot and instant beverages, including those consumed at home, account for an average of 2.8 percent of coffee shop sales annually. The coffee industry is also growing at an average of 7.1 percent per year. Analysts say a coffee-drinking revolution is taking place in South Africa.

In Nigeria, due to the growing middle class, coffee consumption increased by 20 percent between 2010 and 2015. If this trend continues, Nigeria's domestic coffee production will not be able to meet the country's demand. Ethiopia can take advantage of this opportunity. The U.S. Department of Agriculture (USDA) estimated that Ethiopia would produce a record 495,000 metric tons of coffee in 2022/2023, predicting record exports. The Ethiopian government announced that it generated over 1.4 billion USD in the 2016 fiscal year. By reducing domestic consumption and sending value-added coffee to African countries, exports can be increased.

Uganda, one of Africa's leading Robusta coffee-producing countries, can significantly boost its economy by increasing its domestic consumption by an average of 20 percent. The Uganda Coffee Authority has launched a campaign to encourage domestic consumption, which includes offering 20,000 free cups of coffee per week.

In neighboring Kenya, with the growing middle class, efforts are being made to promote coffee-drinking culture among Kenyans and encourage them to drink coffee instead of tea by expanding and promoting coffee shops and building consumer trust.

However, all these efforts have not been sufficient. Based on this, it is recalled that a few years ago in Addis Ababa, Africans convened to learn from Ethiopia's well-developed coffee-drinking culture and adapt it for themselves. The reason is that Ethiopia is not only the origin of coffee but also a country with a rich and developed coffee culture for centuries. Data shows that Ethiopia consumes more than half of its average coffee production domestically. This practice is a good opportunity for ensuring the sustainability of Ethiopian coffee and is a valuable long-term practice.

In Africa, with the expansion of cities, coffee-drinking culture is gradually increasing. Coffee shops are expanding in urban areas. The middle class is also growing. The United Nations predicts that coffee demand in Africa and Asia will double by 2050. This presents a great opportunity for Ethiopian coffee exports to grow. The global coffee market prices are controlled by a few large coffee roasters and transnational corporations in developed countries. As they set the prices, the income of small coffee farmers worldwide often does not even cover their production costs. However, Ethiopian coffee has opportunities to overcome this challenge:

• Specialty Coffee: Ethiopia possesses a large number of specialty coffees, with two-thirds of Ethiopian coffee having the potential to be classified as specialty. Consumers are increasingly developing a habit of paying more for specialty coffee.
• Organic Certification: More than 90 percent of Ethiopian coffee is classified as organic, which is becoming an additional factor linked to consumer health and driving higher prices, creating a favorable situation for our coffee.
• Fair Trade Movement: The growing "fair trade" movement is also a favorable opportunity. Due to the distorted global trade system that harms small coffee farmers, fair trade advocates are striving for a system that allows small producers to cover their production costs and sustain their livelihoods. This is gaining acceptance among consumers, with coffee drinkers showing willingness to pay more when they know where, how, and by whom the coffee was produced, prepared, and packaged.
• Environmental and Social Responsibility: Coffee drinkers are increasingly willing to pay more, and are actively doing so, when they are aware of the environmental and social issues behind coffee production. Since Ethiopia fulfills these aspects, it is an excellent opportunity for its farmers.

Many of the fastest-growing countries in the world are in Africa. The youth and middle-class population in Africa are growing at a high rate. Coffee drinking is currently becoming a symbol of civilization. Studies have shown that drinking more than two cups of coffee per day increases life expectancy by a few years. Life expectancy is also one of the indicators of the Human Development Index (HDI). The long-standing experience of Ethiopian coffee production can cover the growing African coffee consumption. Therefore, we need to turn our focus to Africa.

As the origin country of coffee, Ethiopia has developed a good image and reputation. Consumers often pay more for a good reputation than for the product itself. Therefore, by promoting coffee drinking among African youth, for example, by sponsoring one of the Premier League clubs (e.g., Ethiopian Coffee, Sidama Coffee, etc.), we can achieve this. Additionally, by creating a weekly free coffee booth in Addis Ababa for Africans living in Ethiopia, changing "tea break" to "coffee break," designating an "African Coffee Week," and organizing a competition for African coffee producers to give them recognition, and making coffee duty-free, trade between countries can be facilitated. It is also recommended to use our athletes and the Ethiopian Coffee football team to promote our country's coffee in Africa.

By Sintayehu Girma Aytaged (0900065962) sintayehugirma57@gmail.com

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